Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. If you continue browsing the site, you agree to the use of cookies on this website. See our User Agreement and Privacy Policy.

Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. If you continue browsing the site, you agree to the use of cookies on this website. See our Privacy Policy and User Agreement for details.

There are 50x more Internet
users today (33% of world population) Sources: U.S. Bureau of the Census, World Bank. As of Q2 June 2012.11 44 411 1,019 2,019 2,406 1995 2000 2005 2010 2012 World Internet users (M) 1

People are mobile: connected everywhere,
all the time Source: 2014 Statista forecasts13 • Personal • Location aware • At point of purchase US smartphone users 164m Up 13.4% from 2013 US tablet users 119m Up 20.5% from 2013 3

In fact, FLAG Capital estimates
the number of active tech VCs is less than 100 Source: Thomson Venture Economics, NVCA Yearbook 2013, FLAG internal analysis18 441 119 75 86 2000 2005 2010 2012 Number of active U.S. VC firms Via FLAG Capital - “active” defined as making at least $1 million in venture investments per quarter for 4 quarters in a given year

Entrepreneurs want thought leadership as
well as operational experience Source: Upfront Ventures Survey data35 Important or very important when choosing a VC 34% 47% 49% 52% 60% 67% 68% 70% 70% 87% 87% Location Name / firm achievement Access to portfolio network Transparency (blog or public voice / opinion) Recruiting support Ability to help with access to customers M&A support Ability to attract other VCs Ability to help with marketing your company Industry experience / thought leadership Operational experience Less Important 1

• Blogging • Social media
• Video • Teaching Modern VCs have used the same “direct to customer” tools for competitive advantage 37 Direct to our customer (entrepreneurs) Thought leadership > old boys club More effective for volume 2